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Next week’s major market ranges: forex, gold, bitcoin and grains

Six of the nine markets I follow are setting up for trending price moves for this coming week. Gold, the euro and the Japanese yen are the most favorable for wide-ranging moves. The British pound, Aussie dollar and soybeans are also flashing trending pivots on the upcoming week.

Because all of these also have some degree of narrow-range action, I will highlight some possible trade ideas as well. The yen threw an extreme candle at us on the daily chart two days ago and is the weakest trade idea with a lower target of 8967, should more confirmation at these higher, stops-running prices emerge. The euro gives us an inverted hammer on both the daily and weekly charts in overbought conditions and outside narrowed Bollinger Bands, coupled with momentum studies pointing downward on volume support. This could be a short call spread in monthly expiration and a straight put in weekly options. The pound, aussie and soybeans also offer bearish trade signals, but, like gold, have higher pivots on the week, a likelihood of a bounce back up, and less technical reasons to short them. Crude oil and the S&P 500 futures are bearish with short-term bull signals, meaning one wouldn’t commit too strongly in the upside for this week but could play ball, if so inclined.

The sideways pivots in crude and the S&P actually appeal to me as my favorite Iron Condor option spread trade setup, should a deep, out-of-value downspike occur. My crude trade last week was profitable as a short call spread for a brief window for an exit on Thursday.

Being my third week to try to predict bitcoin futures (XBT), I can state my bias that the swing low may be in, yet due for a retest. I upshifted my ranges again for a third week in a row with two weeks being wrong. Nothing is different as far as positive divergences and a market that responded to a four-hour chart hammer low for a winning trade. Again, this is a very new concept in society to have this type of currency and to grade/value/judge it is elusive with an ethereal vibe or feel.